WOOLWORTHS, LTD.

Dominion, Volume 30, Issue 147, 18 March 1937, Page 14

WOOLWORTHS, LTD.

Small Increase in Net Profit

YEAR’S DIVIDEND, 121 P.C.

The directors of Woolworths, Limited. Sydney report that for the year ended January 31. 1937. the profit, after deducting' all working expenses, including directors’ fees for the current 12 months, £10.009, and additional £2500 for the previous year and amortisation of leases and depreciation £43,758, amounted to £237,341, compared with £227,550 for the previous year. After setting aside £65,000 as provision, the not profit for the year amounts to £172,341, as against £147,u50 for the previous year. Interim dividends have been distributed as follows: —10 per cent, prelerence shares: On August 15. 1936. 5 per cent., £3750; on February 15, 1937, 5 per cent., £3750; making £7500. Seven per cent, second preference shares: On August 15, 1936. 31 per cent., £7000: on February 35 1937 31 per cent., £7OOO ; making £14.000. Ordinary shares: On July 15, 1936, 2 per cent., £16,878/15/2; on October 15, 1936. 2 per cent., £16,878/15/2; on January 15, 1937. 2 per cent., £16,878 15/2; making £50,636/5/6.

This leaves a balance for appropriation of £100,204/17/10. The directors recommend the declaration of a final dividend for the year on the paid up ordinary share capital of the company of 61- per cent- (making 121 per cent, for the year), £54,855/19/6. The directors also recommend the following appropriations: Staff provident fund, £2000; additional provision for charities, £1000; leaving a balance which it is proposed to transfer to general reserve of £42,348/18/4.

After making the above transfer io general reserve of £42,348/18/4, the amount at credit of general reserve and reserve accounts will aggregate £358,556 10/3. The directors report that the affairs of the company have progressed favourably, including new stores that were opened during the year, and that all branches and subsidiaries are operating successfully. The dividends received from the company’s investments in subsidiary companies have been included in the accounts under review. During the past year the subsidiary companies paid to the directors of those companies fees amounting to £3150.

During Hie year the business of Alfred Edmcnts Pty., Ltd., was acquired for the purpose of providing Woolworths (Victoria) Ltd. with certain desired locations to meet its expanding needs. In order to finance same the balance of 15/- per share On the 55,000 ordinary shares held by the company in Woolworths (Victoria) Ltd. was called up. The remaining stores of Alfred Edmeuts Pty., Ltd., not required by Woolworths (Victoria) Ltd., were disposed of to a new company, Edmcnts Ltd., in which neither the parent company nor Woolworths (Victoria) Ltd. have any interest. New Ordinary Share Issue The directors of Woolworths, Limited, Sydney, in a circular to shareholders, announce that an issue is to be made of 84,394 ordinary shares of 20/- each, out of the unissued ordinary share capital, at a premium of 30/- each, in live or multiples of five shares only. The shares are to. be offered to the ordinary shareholders registered on March 31, in the proportion of one share for every ten shares then held.

The terms of issue are to be 50/- per share in cash on application, aud any such shares not applied for by June 30, together with fractions, will be sold by the directors through members of recognised stock exchanges, and the surplus- proceeds, if any, paid to shareholders in accordance with their respective rights. Shares applied for in accordance with these terms will rank for dividend equally with the existing ordinary shares in respeet of ordinary dividends declared ' after June 30, 1937. The company has an authorised capital of £2,000.000, of which there have been issued 75,000 10 per cent, cumulative preference shares of 20/- each. 200.000 7 per cent, cumulative second preference shares of 20/- each, and 843,93S ordinary shares of 20/- each, all fully paid.